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24 July 2013 / Barnaby Yates , Ross Risby
Issue: 7570 / Categories: Features , Procedure & practice , Costs
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A waste of time?

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Ross Risby & Barnaby Yates report on the limited nature of a litigation solicitor’s potential exposure to litigation costs

In Mengiste v Endowment Fund for the Rehabilitation of Tigray [2013] EWHC 1087 (Ch), Peter Smith J considered the first stage of an application by the defendants for a wasted costs order, based on the conduct of the claimant’s solicitors in pursuing what the defendants characterised as hopeless litigation. The claimants’ claim, which concerned the disputed acquisition of shares in an Ethiopian company, hinged on expert evidence to establish that there was a real risk that they would not obtain a fair trial if the dispute was heard by the courts in Ethiopia. Peter Smith J rejected the claimant’s expert evidence as tendentious and acceded to the defendants’ application for a stay of the High Court proceedings.

In seeking wasted costs, the defendants argued that the claimants’ solicitors should not have allowed the expert’s flawed reports to be relied on to

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NEWS
A mood of cautious optimism has enveloped the criminal law sector following indications the Prime Minister may abandon planned jury reforms
Helping to source the services and providers you need
The Senior Courts Costs Office has clarified that judges conducting detailed assessment proceedings cannot order security for costs—a ruling that may leave successful parties exposed to further litigation expense
Rejecting a generous settlement can prove an expensive mistake, as two recent high-profile cases demonstrate
The Financial Conduct Authority (FCA) continues to show that failing to disclose regulatory issues can attract harsher consequences than the original misconduct itself
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